Describe the optimal order size, Operation Management

Assignment Help:

A retail outlet has its own production facility for producing denim cloth. The ordering cost ($150) is the cost of setting up the production process to make the denim cloth. The carrying cost is $0.75 per yard and the demand is 10,000 yards per year. The production facility operates the same days as the retail store is open (i.e. 311 days) and produces 150 yards of the denim cloth per day. Determine:

a) The optimal order size

b) The total inventory cost

c) The length of time to receive an order

d) The number of orders per year

e) The maximum inventory level


Related Discussions:- Describe the optimal order size

Explain main summary task and a summary task, What is the difference betwee...

What is the difference between a main summary task and a summary task?

Explain how does the grapevine develop, Should a manager be concerned with ...

Should a manager be concerned with the grapevine within his or her organization? Why or why not? How does the grapevine develop? Is the grapevine a valid communication process? Sho

Describe implementation and communication of strategic plan, Why is it impo...

Why is it important to continuously update the implementation and communication of a strategic plan? Who should be responsible for updating and communicating a strategic plan? Why?

Change Management in Process/Systems?, main principles of project managemen...

main principles of project management aiding the operations manager/manageress in introducing change to the process/system?

Describe cauterization for each stakeholder, Using the stakeholder analysis...

Using the stakeholder analysis template (appendix B2in the Hilton and Simon text) for a company that you are familiar with, determine the key stakeholder, and categorize them by th

Describe harley davidson has excess capacity, Harley Davidson sells motorcy...

Harley Davidson sells motorcycle X and Y. Motorcycle X sells for $10,000, has variable cost (labour and material) of $2,000, and requires 10 hours of use of machinery to produce. M

Explain a jet engine has ten components in series, A jet engine has ten com...

A jet engine has ten components in series. The average reliability of each component is 0.998. What is the reliability of the engine? (Round your answer to 3 decimal places, the

Explain challenges has the european union consortium faced, Describe what c...

Describe what challenges has the European Union Consortium faced in the last 2-3 years

Line balancing, Describe What happens if balance doesn’t exist

Describe What happens if balance doesn’t exist

Explain can the baker sue kristina for payment of the cake, Kristina places...

Kristina places an order for a cake on Flowers bakery's web site. She then calls the baker to tell him that she will pay him $1000 for the specially designed cake if he will guaran

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd